Weight loss drug Wegovy has revolutionized the obesity market, with pharmaceutical companies hoping the resulting demand will boost sales of their older, less effective but cheaper treatments. Wegovy, which was launched in the U.S. in June 2021, leads to an average weight loss of around 15%. However, supply issues and high cost have caused some insurers and governments to baulk at its use.
Vivus and Currax Pharmaceuticals, U.S.-based developers whose treatments have been on the U.S. market for around a decade, are hoping to benefit from the attention and supply shortage. Vivus plans to launch its pill, sold as Qsiva in Europe and Qysmia in the U.S., in several countries, while Currax’s drug, marketed as Contrave in the U.S. and Mysimba in Europe, is already approved in 40 countries.
Eli Lilly and Pfizer are likely to be the next to launch their drugs, while obesity experts say there is a role for the older drugs due to their lower cost. However, investors say the issues with the older drugs, notably efficacy and tolerability, could continue to hold them back.